WB: Albanian banks, healthy – Second in the region after Serbia in the two main indicators of banking health
In the latest periodic report on the countries of the Western Balkans, which assesses the impact of Covid-19 on the 6 economies of the region, including Albania, the World Bank extensively analyzes the banking sector. For Albania, this sector is considered well-capitalized and sufficiently liquid. Even the World Bank estimates that two of the most important indicators of the sector, rank Albania second in the region.
The first indicator, capital adequacy, ranks Albania second in the region, only after Serbia, which has a more developed financial market than our country, as it is earlier and is based on a significantly more developed economy. This indicator for banks operating in our country is fixed at 18.3%.
The other most important indicator for the health of lending institutions is that of liquid assets in relation to total assets. In Albania this indicator is fixed at 35.7%. This figure puts us second again in the region, but with a negligible difference with Serbia in first place, where the rate is fixed at only 0.3 percentage points more, at 36%. Both of these signal a good health of banks operating in Albania, which translates into security for citizens, but also businesses and the economy in times of crisis.